Gelion (GELN) H1 2026 earnings summary

Executive summary

• Focused on commercializing proprietary sulfur-based cathode active material (CAM) for next-generation batteries, targeting the $132 billion cathode materials market by 2032 through global collaborations and a capital-light, IP-driven model.

• Achieved significant technical and commercial progress, including collaborations with TDK and QinetiQ, successful delivery and prototyping of NES/NEST CAM materials, and grant funding from UK and Australian agencies.

• Business units span sulfur battery technology, integrated solutions, and recycling, each advancing on strategic and technological milestones.

• Expanded into the U.S. and strengthened presence in the U.K., Australia, and Japan, with ongoing discussions for new strategic partnerships and an expanded advisory panel.

• Completed an oversubscribed capital raise of £9.9m–£10.5m in November 2025, strengthening the balance sheet and supporting ongoing R&D and commercialization.

Financial highlights

• Total income for H1 FY26 increased to £0.5m from £0.4m in H1 FY25, mainly from higher grant income and project recognition.

• Adjusted EBITDA loss improved by 15.8% to £2.4m from £2.9m year-over-year, reflecting cost control, increased grant funding, and reduced OPEX.

• Cash and cash equivalents rose to £10.5m at 31 Dec 2025, up from £2.7m at 30 Jun 2025, following the capital raise.

• Equipment CapEx increased by £0.9m to support scaling production, with £0.4m covered by grants.

• Net assets increased to £16.9m (30 June 2025: £10.0m), driven by the capital raise and investment in technology.

Outlook and guidance

• No integration revenue expected in FY26 due to long sales cycles; pipeline maturing for FY27.

• Strategic investments planned in FY26 and FY27 to scale CAM manufacturing and expand US presence, leveraging grants and external funding.

• Focus on advancing commercial readiness, expanding partnerships, and progressing technical milestones for commercial pouch cells.

• Recycling business moving from lab to pilot scale, with revenue expected post-pilot phase.

• Fiscal discipline will be maintained while selectively investing in growth opportunities.